Bitcoin Exchange Coinbase Launches SegWit Compatability

Coinbase have announced that the site will now be implementing SegWit on Bitcoin deposits and withdrawals. The transition is being implemented over the coming week, and should improve transaction speeds and lower fees. SegWit was introduced August of last year through BIP 141 (Bitcoin Improvement Proposal), however Coinbase was slow to adopt the technology. The lack of implementation of the technology was increasingly frustrating for Coinbase users, who launched a petition calling for the exchange platform to prioritize SegWit implementation over other upgrades. The petition noted that the Bitcoin community is “overwhelmingly in support” of SegWit, and was signed over twelve-thousand times. Segregated Witness or SegWit was a major improvement to the Bitcoin protocol. By redefining the structure of blocks, (with one block changing from 1MB to become four million units) it became possible to greatly reduce the space taken on the blockchain by transaction and witness data. The change allowed more transactions to be stored in each block, making the blockchain more efficient and cheaper to use. Coinbase is not alone in recently adopting the technology. Last week the Bitcoin Core wallet upgraded to allow SegWit Transactions, which was followed by an announcement from Bitfinex that they too were now utilizing SegWit on Bitcoin transactions.

Reference: https://www.ccn.com/bitcoin-exchange-coinbase-launches-segwit-compatability/

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